BVSI UP UP and away !!!
Business Week article released 2/5/98 Will make the stock take off. Read the part about ATT Agreement to buy 1.4M warrents
@ $11
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A SPECIAL LILT AT BRITE
VOICE
Investors in Brite Voice Systems (BVSI) haven't had much to talk about lately.
After hitting 17 in January, 1997, the stock languished in the 7-to-12 range.
Disappointing earnings for this provider of cellular voice-activated dialing and
voice-response systems depressed the stock, leading to a management shakeup.
But lately, some are betting on a ''repositioned'' Brite Voice.
The installation of David Gergacz as chairman and CEO ''bodes well,'' says
Donald Newman of the New York investment firm Ladenburg Thalmann,
''particularly through his connections in the telecommunications industry.'' One
such link is with AT&T, with which Brite Voice has signed its largest agreement,
worth $25 million, to provide AT&T with enhanced features for its products. The
contract could conservatively reach $60 million over its three-year life. Brite also
has a pact with Sprint and L.M. Ericsson to provide them with Brite's products
for their wireless systems.
But one thing attracting little attention: AT&T's agreement to buy a warrant to
purchase 1.4 million shares of Brite stock, at 11 a share.
''We're rating Brite Voice a strong buy with a 12-month price target of 16 to 18,''
says Leo Rishty, who edits the newsletter Unique Situations. The Street ''has yet
to grasp the significance of AT&T's stake in Brite Voice,'' he adds.
BY GENE G. MARCIAL |
